Netflix (NASDAQ:NFLX) Trading Down 1.5% – Time to Sell?

Netflix, Inc. (NASDAQ:NFLX) shares traded down 1.5% during trading on Tuesday . The company traded as low as $81.34 and last traded at $81.41. 34,595,182 shares traded hands during trading, a decline of 22% from the average session volume of 44,389,949 shares. The stock had previously closed at $82.64.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix is expanding its gaming push with “FIFA World Cup: Launch Edition”, an exclusive Netflix Games title tied to the upcoming World Cup. That supports the company’s strategy to broaden engagement beyond streaming and could help reinforce long-term subscriber retention. FIFA to Release FIFA World Cup: Launch Edition on Netflix (NFLX) Games, Reuters Reports
• Positive Sentiment: Netflix is also leaning into major live-event and franchise content, including World Cup-related specials and a new soccer game, which could drive viewing hours and strengthen its ad-supported and engagement story. Netflix Leans Into World Cup With New Specials And FIFA World Cup Game
• Positive Sentiment: Market commentary remains constructive on Netflix’s long-term growth profile, with some investors framing it as a top blue-chip stock and a potential trillion-dollar company by 2030. Here’s Why Netflix (NFLX) Is One of the Best Blue Chip Stocks Under $100 to Buy Now
• Neutral Sentiment: Netflix named Jay Hoag as chairman after Reed Hastings stepped down, a governance change that is not obviously material to fundamentals but may reassure investors about board continuity. Netflix Board Shift Puts Jay Hoag At Center Of Investor Oversight
• Neutral Sentiment: Short-interest data showed no meaningful update in the reported period, so it does not appear to be a major driver of the stock today.
• Negative Sentiment: Paramount accused Netflix of waging a “scorched-earth campaign” to derail the Warner Bros. Discovery deal, which could create reputational noise and renewed concern around Netflix’s competitive posture in the M&A landscape. Paramount Accuses Netflix Of Waging ‘Scorched-Earth Campaign’ To Derail Warner Bros. Discovery Deal: Report

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on the stock. New Street Research upped their price objective on shares of Netflix from $96.00 to $102.00 in a research report on Friday, April 17th. Citizens Jmp reaffirmed a “market perform” rating on shares of Netflix in a research report on Wednesday, April 15th. KeyCorp reaffirmed an “overweight” rating and set a $115.00 price objective (up from $108.00) on shares of Netflix in a research report on Tuesday, April 14th. Guggenheim reaffirmed a “buy” rating and set a $120.00 price objective on shares of Netflix in a research report on Friday, May 15th. Finally, Barclays set a $110.00 price target on shares of Netflix and gave the stock an “equal weight” rating in a research report on Friday, April 17th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and sixteen have issued a Hold rating to the stock. According to data from MarketBeat.com, Netflix currently has an average rating of “Moderate Buy” and a consensus price target of $114.82.

Netflix Price Performance

The company has a quick ratio of 1.41, a current ratio of 1.41 and a debt-to-equity ratio of 0.43. The stock has a market cap of $342.80 billion, a price-to-earnings ratio of 26.30, a price-to-earnings-growth ratio of 1.04 and a beta of 1.50. The company’s 50-day moving average is $91.99 and its 200-day moving average is $91.72.

Netflix (NASDAQ:NFLX) last posted its quarterly earnings results on Thursday, April 16th. The Internet television network reported $1.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.76 by $0.47. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The firm had revenue of $12.25 billion during the quarter, compared to analyst estimates of $12.17 billion. During the same quarter in the prior year, the business posted $6.61 earnings per share. The company’s quarterly revenue was up 16.2% compared to the same quarter last year. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. Equities research analysts expect that Netflix, Inc. will post 3.6 earnings per share for the current fiscal year.

Insider Activity at Netflix

In other news, insider David A. Hyman sold 5,722 shares of the firm’s stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $88.08, for a total transaction of $503,993.76. Following the completion of the sale, the insider owned 316,100 shares of the company’s stock, valued at approximately $27,842,088. This trade represents a 1.78% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gregory K. Peters sold 27,312 shares of the firm’s stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $88.69, for a total transaction of $2,422,301.28. Following the sale, the chief executive officer directly owned 120,931 shares of the company’s stock, valued at approximately $10,725,370.39. The trade was a 18.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 1,313,029 shares of company stock valued at $120,315,776. Insiders own 1.24% of the company’s stock.

Institutional Trading of Netflix

Several hedge funds have recently modified their holdings of the company. Rathbones Group PLC boosted its position in Netflix by 53.7% in the 1st quarter. Rathbones Group PLC now owns 1,266,693 shares of the Internet television network’s stock valued at $121,793,000 after buying an additional 442,520 shares during the last quarter. Robinswood Financial LLC bought a new position in Netflix in the 1st quarter valued at $62,000. Pine Valley Investments Ltd Liability Co boosted its position in Netflix by 35.3% in the 1st quarter. Pine Valley Investments Ltd Liability Co now owns 68,837 shares of the Internet television network’s stock valued at $6,619,000 after buying an additional 17,964 shares during the last quarter. Farmers National Bank bought a new position in Netflix in the first quarter valued at about $212,000. Finally, Evansbrook LLC boosted its holdings in Netflix by 4.1% in the first quarter. Evansbrook LLC now owns 10,700 shares of the Internet television network’s stock valued at $1,029,000 after acquiring an additional 420 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company’s stock.

About Netflix

Netflix, Inc (NASDAQ: NFLX) is a global entertainment company that provides subscription-based streaming of films, television series, documentaries and other video content. Founded in 1997 by Reed Hastings and Marc Randolph and headquartered in Los Gatos, California, the company began as a DVD-by-mail rental service and introduced streaming video in 2007. Netflix later expanded into producing and distributing original programming, beginning notable original hits in the 2010s, and now operates a content production and distribution ecosystem alongside its licensing activity.

The company’s primary product is its on-demand streaming service, which can be accessed on a wide range of internet-connected devices and delivered through a suite of apps and web platforms.